Health Insurance Opt-Out Policy

The City of Boston offers employees who are currently enrolled in health insurance through the City, the option of “opting out” of their health coverage in exchange for an annual payment of $1,000 or $1,500 for an individual plan or $1,500 or $2,500 for a family plan, whichever applies under the employee’s collective bargaining unit.

  • Employees must be currently enrolled in health insurance through the City of Boston for at least one year and complete the waiver form to opt-out of health insurance and provide proof of creditable coverage during the annual open enrollment period for an effective date of July 1st.

  • Employees in certain bargaining units may be eligible for the program even if they are not currently insured but at one time had health insurance coverage through the City for at least one year.

  • The employee may not opt-out and then become a member of another City employee’s health plan.  

  • If an employee opts out of health insurance through the City, they may re-enroll due to a loss of coverage. The employee will be required to pay back a prorated amount of their cash benefit. 

  • Employees who already participate with the City of Boston Health Insurance Opt-out Program must complete the Renewal Form each year and provide a new letter of creditable coverage during annual open enrollment in order to receive their cash benefit.

Opt-out Policy, Related Forms & Information